Less than two months after the Texas Attorney General sued Mannatech (NASDAQ: MTEX) for illegal sales and marketing practices, the company's founder and CEO, Sam Caster, has resigned (subscription required), but will stay on as non-executive chairman.
Mannatech, a multi-level marketing company, has come under fire after reports that its sales force was claiming that its products could cure cancer, Down syndrome, and numerous other serious conditions.
But don't worry. The press release doesn't even mention the lawsuit that has pummeled the stock. According to the company's press release, "His changing role at Mannatech will allow him to step back from operating responsibilities to focus his efforts on working with field sales leaders to transition to Mannatech's new global wellness sales program."
Right. And Michael Vick is retiring from football indefinitely to spend more time with people who have been less fortunate. If I were Mr. Caster, I'd be looking for the next plane to Lichtenstein.
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